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Cable Tech

Calix Strikes Back

2:10 PM -- Remember when Pannaway Networks bought the access division of TelStrat International about a month ago and proudly proclaimed that they would be going after the Tier 2/3 market leader Calix Inc. (NYSE: CALX)? (See Pannaway Goes After Calix.)

The basis of this argument was that TelStrat had been licensing the intellectual property of the F5 to OSI and that when Calix later bought OSI and Pannaway bought part of TelStrat, Calix therefore was now leasing technology from Pannaway. I don't really know what that means either, but the end result supposedly was that Pannaway could now cut into that Calix customer base because of this relationship.

Well maybe not after all. Kevin Walsh, VP of marketing at Calix dug a little deeper after we ran the story and found that the intellectual property connection between OSI and TelStrat was severed as a condition for Calix purchasing OSI. "We would never have done that deal without that condition," says Walsh.

Hmmm, interesting. That would certainly negate the basis of Pannaway's claims. But why did it take so long for that information to surface? And what sayeth Pannaway now? We're awaiting their reply.

— Raymond McConville, Reporter, Light Reading

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